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S F sales price/unit $400 $500 DM per unit $95 $110 DL per unit $35 $55 VOH per unit $15 $20 DL hours per unit

S F
sales price/unit $400 $500
DM per unit $95 $110
DL per unit $35 $55
VOH per unit $15 $20
DL hours per unit 30 Min. 45 Min.

There are a maximun of 2,400,000 direct labor minutes avail. each year.

A. If there is unlimited demand for both products, how many of each type of mattress should be produced in order to maximize profits?

B. If the company believes that there is sufficient demand for up to 35,000 soft and 33,000 firm mattresses each year, how many of each type should be installed in order to maximize profits?

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